# GSA Uncovers $1.2B COVID Contract Fraud

The General Services Administration (GSA), in coordination with the Department of Health and Human Services (HHS) and the White House Task Force to Eliminate Fraud, has uncovered over **$1.2 billion** in suspected fraud related to five COVID-era emergency contracts. These contracts continued disbursing funds years after the official end of the COVID-19 national emergency in 2023. GSA has halted an additional **$41 million** in payments and referred cases to law enforcement for recovery efforts. This investigation highlights ongoing risks in emergency contracting, emphasizing the need for rigorous contract oversight and fraud prevention in federal procurement.

- **Why this matters:** Procurement professionals should be aware of increased scrutiny on COVID-era contracts and the potential for recovery actions impacting contractors.
- Agencies and contractors must prioritize compliance and transparency to avoid suspension of payments and legal consequences.
- This underscores the importance of monitoring contract status post-emergency declarations to prevent improper payments.
- Businesses should evaluate their internal controls and documentation to mitigate risks associated with emergency contract audits.

**Jurisdictions:** federal
**Industries:** Professional Services, Healthcare
**Topics:** Regulatory Compliance, Grants & Funding, Contracting Vehicles
**Published:** September 25, 2026

### Government Entities
- General Services Administration (GSA)
- Department of Health and Human Services (HHS)
- White House Task Force to Eliminate Fraud
- Federal Bureau of Investigation (FBI)

### Key Quotes
> The COVID emergency ended over three years ago, yet fraudsters continue to weaponize outdated emergency contracts to abuse taxpayer dollars. Thanks to the leadership of President Trump and Vice President Vance’s Task Force to Eliminate Fraud, GSA uncovered $1.22 billion in suspected fraud across five HHS COVID-era contracts.
> — Edward C. Forst, GSA Administrator

> GSA's review uncovered $1.22 billion in suspected fraud and stopped $41 million more across five HHS COVID-era contracts that kept the emergency label alive long after the emergency was gone.
> — Scott Brady, Executive Director, White House Task Force to Eliminate Fraud

> You definitely see patterns in certain communities. It'll start as maybe one Somali person takes advantage of the system, or realizes you don't even have to have children to get money from these programs. You could just claim that you have children, there's no verification. Then, word spreads like wildfire, and that program gets tapped into by the same members of that community.
> — JD Vance, Vice President

### Sources
- [GSA claims it found $1.2B in suspected COVID-related contracting fraud - Government Executive](https://www.govexec.com/management/2026/09/gsa-claims-it-found-12b-suspected-covid-related-contracting-fraud/416211) - GovExec.com
- [GSA claims it found $1.2B in suspected COVID-related contracting fraud - Nextgov/FCW](https://www.nextgov.com/acquisition/2026/09/gsa-claims-it-found-12b-suspected-covid-related-contracting-fraud/416197) - Nextgov/FCW
- [Trump administration uncovers $1.2B in suspected COVID contract fraud tied to Biden-era spending - Belaaz News](https://belaaz.com/news/gsa-uncovers-1-22-billion-in-suspected-covid-contract-fraud-as-trump-administration-expands-anti-fraud-drive) - Belaaz News